Chapter 23
The Transformation of the World Economy
- discussion of Barbie and Ken dolls showed the power of global commerce
- showed a reaction to values portrayed by Barbie and Ken elsewhere in the world
- Iran created new dolls, Sara and Dara, that displayed Iranian Muslim values and practices
- Sara and Dara, Barbie and Ken dolls were all made in China
- a dense web of political relationships, economic transactions, and cultural influences increasingly bound world together
- the 1990s: the process of accelerating engagement known as globalization
- globalization had long history upon which 20th-century globalization was built
- the pace of globalization increased rapidly after WWII
- global economic connections contracted during the time between world wars
- capitalist winners of WWII determined not to repeat Great Depressions
- 1944: Bretton Woods agreements
- technology helped accelerate economic globalization
- the 1970s: capitalist countries dropped controls on economic activity and increasingly viewed as a single market
- known as neoliberalism
- favored reduction of tariffs, a free global movement of capital, mobile workforce, privatization of state enterprises, less government economic regulation, tax, and spending cuts
- neo-liberalism imposed on poor countries to give them loans
- breakdown of communist state-controlled economies furthered the process
- global economic transactions sped up after WWII
- world trade increased
- $57 billion in 1947
- over $16 trillion in 2009
- companies market goods worldwide
- money became highly mobile
- foreign direct investment, especially after 1960
- short-term investment in foreign currencies or stock
- international credit cards, allowing easy transfers of money to other countries
- 2012 MasterCard accepted at 33 million businesses in 220 countries or territories
- central to process are transnational corporations (TNCs) which are huge global businesses that operate in many countries simultaneously
- some TNCs have greater economic clout than some countries
- 2000: 51 world's 100 large economic units were TNCs, not countries
- many laborers and professionals moved all over the world from poor to rich countries
- millions sought refuge in the west from oppression or civil war
- others migrate from developing in industrialized countries known as labor migrants
- 1971-2010: 20 million to the U.S.
- economic globalization helped generate greatest economic growth spurt in world history; immense creation of wealth
- life expectancies increased nearly everywhere
- infant mortality declined
- literacy rates increased
- poverty declined
- new world economy experienced some crisis, recently in 2008
- massive chasm developed between rich industrialized countries and everyone else
- the ratio between income of top and bottom 20% of the world's population was 3:1 in 1820
- 86:1 in 1991
- disparity shaped almost everyone's life chances
- disparities became a source of conflict between richer Global North than developing Global South
- tension over trade rules and terms of foreign aid
- growing disparities between developing countries make collective action more difficult
- growing economic inequality with individual states, both rich and poor
- the U.S. lost millions of manufacturing jobs, forcing factory workers into lower-paying jobs, while other prospered in high-tech industries
- northern Mexico became much more prosperous than southern Mexico
- China, urban income by 2,000 was three times that of rural income
- the growing popular movement against globalization emerged in the 1990s
- involves rich and poor
- argued free-trade, market-driven corporate globalization lowered labor standards, encouraged ecological destruction, ignored human rights and cultures, and enhanced global inequality
- 1999: attracted global attention with a massive protest at the World Trade Organization in Seattle
- 2001: alternative globalization activists created the World Social Forum to coordinate strategy and share experiences
- opposition to corporate free-trade globalization
- opposition to growing the U.S. power and influence
- seen as "American power"
- Americans deny America is an empire
- described as "informal empire" like European in China and the middle east in the 19th century
- Soviet collapse and thaw of the Cold War left the U.S. without equivalent power in opposition
- the U.S. able to act unilaterally against Afghanistan and Iraq after Islamic militants attacked on Sept. 11, 2001
- the U.S. is in a new global struggle, contain or eliminate Islamic "terrorism"
- the U.S. faced international economic competition since the 1980s
- the U.S. shared overall world production
- 50% in 1945
- 20% in the 1980s
- revealed the U.S. trade balance
- the U.S. imports exceed exports
- the armed struggle against the U.S. intervention in Vietnam, Cuba, Iraq
- during the cold war, some states turned toward USSR to limit the U.S. influence
- 1967: France withdrew from NATO
- 2000: widespread opposition to the U.S. international policies
- global exercise of American power has caused controversy with the U.S.
- Vietnam War split country worse than anything since the Civil War
- the U.S. invasion of Iraq provoked similar protests and controversies
- 20th century: liberation spread
- the 1960s: protests movements around the world suggests a new global culture of liberation
- the U.S.: civil rights, youthful counterculture, antiwar protests
- Europe: unresponsive bureaucracy, consumerism, middle-class values
- communist world: give a socialism a human face in Czechoslovakia
- China: Cultural Revolution
- development of the idea of the third world
- cultural renewal
- third world ideology exemplified by Che Guevara
- an effort to replicate liberation of the Cuban revolution through Guerrilla Welfare in Africa and Latin America
- among all liberation movements, feminism most profound potential for change
- rethinking of basic relationships between men and women
- began in the west in the 19th century with suffrage
- the 1960s: organized feminism revived in the west with new agenda
- against a historic understanding of women as deviant
- demanded the right of women to control own bodies
- agenda of equal rights in employment and education
- "women's liberation": broad attack on patriarchy as domination
- consciousness rising: becoming aware of the oppression
- open discussion of sexuality issues
- black women emphasized solidarity with black men, not separation
- women welcome in communist and revolutionary movements but sidelined after movements' success
- the 1970s: many African feminists thought Western feminists too individualistic and too focused on sex
- resented Western feminists' interest in cultural matters like female circumcision and polygamy
- African governments and African men identified feminism with colonialism
- not all movements dealt explicitly with gender
- Kenya: women's group supported individual women and communities
- Morocco: feminist movement targeted laws defining women as minors
- 2004: obtained legal equality
- Chile: women's movement during Augusto Pinochet's dictatorship crossed class and party lines, helped groups survive economically, exposed human rights abuses
- the 20th century: "women question" became a global issue
- patriarchy lost some legitimacy
- UN declared 1975 as International Women's Year
- UN declared 1975-1985 as Decade for Women
- UN sponsored series of World Conferences on Women
- 2006: 183 nations had ratified UN Convention to Eliminate Discrimination against Women
- sharp divisions within global feminism
- who has the right to speak for women
- the conflict between developed and developing nations' interests
- third world groups often disagree
- the global backlash to feminism
- some argued agenda undermined family life and relations between men and women
- fueled religious revivalism in the Muslim world
- some took exception to emphasis on reproductive rights
- modernity presented a challenge to the world's religion
- "advanced" thinkers of the 18th and 19th centuries believed supernatural religion headed for extinction
- a sharp decline in religious belief and practice in some places
- the spread of scientific culture convinced small minorities that only realities worth considering were those that could be measured scientifically
- prominent trends of the last century have been further spread of major world religions, a resurgence in new forms, and attacks on elements of secular and global modernity
- Buddhist ideas and practices well received in the west
- Christianity spread even further
- majority of Christians no longer in Europe and in the U.S.
- Islam spread
- religious pluralism on a level never seen before
- "fundamentalism" major reaction against modernization and globalization
- militant piety: defensive and exclusive
- developed in every major religious tradition
- feature of the modern world appear threatening to the established region
- upset customary class, family, and gender relationships
- nation-states undermined by the global economy and foreign culture
- disruption often caused by foreigners from the west
- fundamentalists responded with a selective rejection
- actively use modern communication technology
- fundamentalists come from the U.S. religious conservatives in the early 20th century
- called for a return to fundamentals of Christianity
- many saw the U.S. on edge of a moral abyss
- the 1970s: entered the political arena as a religious right
- the 1980s: Hindutva - Hindu nationalism - developed in India
- formed political party
- Bharatiya Janata Party
- opposed state efforts to cater to Muslims, Sikhs, and lower castes
- BJP promoted distinct Hindu identity in education, culture, and religion
- Islamic fundamentalism is most prominent of the late 20th century
- earlier renewal movements focused on internal problems
- the 20th century: respond to external pressures
- the 1970s: great disappointments in the Muslim world
- new states pursued western and secular policies
- new policies were unsuccessful
- foreign intrusion continued
- the growing attraction of Islamic alternative to western models
- foundations laid early
- Mawlana Mawdudi, Sayyid Qutb
- an effort to return to true Islam labeled as "jihad"
- 1928: Egypt's Muslim Brotherhood founded, the earliest mass movement to resist western influence
- gained large following
- still a major presence in Egypt
- the 1970s: fundamentalist thought in Islamic World
- increase in religious observance
- many women voluntarily adopted modest dress and veils
- governments used Islamic rhetoric and practice as an anchor
- Islamic organizations formed to provide social services
- Islamic activists became leaders in unions and professional organizations
- entry into politics
- some wanted overthrowing of compromised regimes: implemented radical Islamization
- 1979: Islamic movement took power in Iran
- 1996: Afghanistan
- 2000: Northern Nigeria
- Pakistan and Sudan: military governments introduced elements of sharia law
- 1981: Egyptian Islamic Jihad assassinated Anwar Sadar
- attacked hostile foreign powers
- Hamas and Hezbollah targeted Israel
- 1979: response to Soviet invasion of Afghanistan
- 1998: al-Qaeda issued fatwa declaring war against America
- attacked western interest in East Africa, Indonesia, Great Britain, Spain, Saudi Arabia, and Yemen
- violent struggle in the Islamic World
- fundamentalists interpreted the Quran is highly literal and dogmatic ways
- legalistic in regulation of daily life
- opposed to "innovation" in religious practice
- defined those who disagreed with them as "non-Muslims"
- draw to violent jihad as a legitimate part of life
- skeptical of Sufism
- known as Salafism, a form of fundamentalist Islam spread with the financial backing of Saudia Arabia
- militancy isn't only religious response to modernity
- debated within the Islamic World
- many acted peacefully within political structures
- Muslim intellectuals called for dialogue between civilizations
- others argued that traditions can change in face of modern realities
- Turkey: Fethullah Gulen inspired reformist movement
- 2004-2005: "Amman Message" called for Islamic unity
- other religious traditions responded to global modernity
- Christian groups concerned with ethical issues of economic globalization
- liberation theology advocated Christian action in areas of social justice, poverty, human rights
- a growing movement of "socially engaged Buddhism" in Asia
- first week of February 2011: designated by UN as World Interfaith Harmony Week
- three factors magnified human impact
- the 20th century: world population quadrupled
- the massive use of fossil fuels
- coal in the 19th century
- oil in the 20th century
- the uneven spread of all three over the world
- economic growth came to appear possible and desirable almost everywhere
- human environment disruptions now global proportions
- doubling cropland and corresponding contraction of forests and grasslands
- numerous extinctions of plant and animal species
- air pollution in major cities and rivers
- chlorofluorocarbons thinned the ozone layers
- 2000: scientific consensus on the occurrence of global warming as a result of burning fossil fuels and loss of trees
- the 19th century: environmentalism began as a response to the Industrial Revolution
- the second half of the 20th century: became a global phenomenon
- 1962: began in the west with Rachel Carson's Silent Spring
- the impetus for action came from grassroots and citizen protest
- Germany: environmentalists entered politics as Green Party
- the 1970s-1980s: environmentalism took root in developing countries
- locally based, involving poorer people
- concerned with food security, health, and survival
- environmentalists sought basic changes in a political and social structure
- Philippine activism against foreign mining companies
- end of the 20th century: environmentalism became a matter of global concern
- legislation to control pollution in many countries
- encouragement for business to become "green"
- research on alternative energy sources
- conferences on global warming
- international agreements on several issues
- conflicts between the Global North and Global South
- northern efforts to control pollution and global warming could limit South's industrial development
- developing countries see developed ones as unwilling to give up their extravagance and help
- global environmentalism symbolizes focus on the plight of humankind
- a challenge to modernity, especially commitment to growth
- the growing importance of ideas of sustainability and restraint
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